Spotify sings a new tune: Some releases to be limited to premium users

Author:
Joel Hulsey , KSDK

Published:
5:43 PM CDT March 16, 2017

Updated:
5:46 PM CDT March 16, 2017

Despite years of offering the entirety of its music catalog to both free and premium users, music streaming service Spotify is reportedly going to release some new releases exclusively to its premium users.

As The Verge reported Thursday, Spotify is working to renegotiate their expired licensing deals with various music labels. Although the deal may still be months from going live to its users, Spotify has already begun the process to eventually release some new music releases locked only to premium users.

According to the Financial Times, Spotify will, in turn, receive a reduction in royalty fees that is paid out to the record labels associated with the streaming service.

The Verge also reported the move to limit the exclusivity is an apparent move to make their services 'more attractive ahead of an initial public offering' in the future.